v3.22.2.2
Segment Information
 9 Months Ended
Sep. 30, 2022
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company operates its business and reports its results through two operating and reportable segments: B2C and B2B, in accordance with ASC Topic 280, Segment Reporting. The B2C segment provides users with Sportsbook, iGaming and DFS products, as well as media and other online consumer products. The B2B segment is involved in the design and development of sports betting and casino gaming software, which is primarily comprised of the Company’s wholly-owned subsidiary, SBTech (Global) Limited (together with its subsidiaries unless the context requires otherwise, “SBTech”).

Operating segments are components of the Company for which separate discrete financial information is available to and evaluated regularly by the chief operating decision maker (“CODM”), who is the Company’s Chief Executive Officer, in making decisions regarding resource allocation and assessing performance. The CODM assesses a combination of metrics such as revenue and Adjusted EBITDA to evaluate the performance of each operating and reportable segment.
Any intercompany revenues or expenses are eliminated in consolidation. All of the Company’s operating revenues and expenses, other than those excluded from Adjusted EBITDA as detailed below, are allocated to the Company’s reportable segments. The Company defines and calculates Adjusted EBITDA as net loss before the impact of interest income or expense (net), income tax provision or benefit, and depreciation and amortization, and further adjusted for the following items: stock-based compensation, transaction-related costs, litigation, settlement and related costs, advocacy and other related legal expenses, gain or loss on remeasurement of warrant liabilities and other non-recurring and non-operating costs or income, as described in the reconciliation below.
A measure of segment assets and liabilities has not been currently provided to the Company’s CODM and therefore is not shown below.
Summarized financial information for the Company’s segments is shown in the following table:
Three months ended September 30,Nine months ended September 30,
2022202120222021
Revenue:    
B2C$492,846 $189,094 $1,351,271 $740,113 
B2B9,092 23,725 34,057 82,587 
Total revenue501,938 212,819 1,385,328 822,700 
Adjusted EBITDA:
B2C(247,522)(307,700)(615,597)(541,313)
B2B(16,689)(5,903)(56,257)(6,854)
Total adjusted EBITDA(264,211)(313,603)(671,854)(548,167)
Adjusted for:
Depreciation and amortization46,089 30,356 120,629 88,600 
Interest (income) expense, net(6,301)1,556 (8,378)(1,071)
Income tax provision (benefit)3,177 3,845 (77,580)1,654 
Stock-based compensation126,038 175,664 448,636 499,246 
Transaction-related costs751 4,348 15,030 15,261 
Litigation, settlement and related costs1,390 4,712 5,786 8,933 
Advocacy and other related legal expenses
16,558 16,667 16,558 27,702 
(Gain) loss on remeasurement of warrant liabilities6,797 (7,091)(20,199)2,905 
Other non-recurring and non-operating costs (income) (8,216)1,368 (37,046)5,501 
Net loss attributable to common shareholders$(450,494)$(545,028)$(1,135,290)$(1,196,898)